1 2 3 Your firm is contemplating the purchase of a new $535,000 computer-based order entry...

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1 2 3 Your firm is contemplating the purchase of a new $535,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. It will be worth $30,000 at the end of that time. You will save $165,000 before taxes per year in order processing costs, and you will be able to reduce working capital by $60,000 (this is a one-time reduction). If the tax rate is 24 percent, what is the IRR for this project? 4 Input area: 5 6 Initial investment $535,000 7 Pretax salvage value $30,000 8 Cost savings per year $165,000 9 Working capital reduction $60,000 10 Tax rate 24% 11 Project and asset life 5 12 13 (Use cells A6 to 811 from the given information to complete this question. You must use the built-in Excel 14 function to ancwer this medion Taves on the calvare value chreld he neeative for a tax liability and Graded Worksheet 1 2 3 Your firm is contemplating the purchase of a new $535,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. It will be worth $30,000 at the end of that time. You will save $165,000 before taxes per year in order processing costs, and you will be able to reduce working capital by $60,000 (this is a one-time reduction). If the tax rate is 24 percent, what is the IRR for this project? 4 Input area: 5 6 Initial investment $535,000 7 Pretax salvage value $30,000 8 Cost savings per year $165,000 9 Working capital reduction $60,000 10 Tax rate 24% 11 Project and asset life 5 12 13 (Use cells A6 to 811 from the given information to complete this question. You must use the built-in Excel 14 function to ancwer this medion Taves on the calvare value chreld he neeative for a tax liability and Graded Worksheet